Emkay Tools (NSE:ETL) Interest Coverage: 0 (At Loss) (As of . 20)

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NSE:ETL Emkay Tools Ltd NSE:ETL
2 GF Score
Price ₹970.05
! 1 Warning Sign
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What is Emkay Tools Interest Coverage?

Emkay Tools NSE:ETL 2 Interest Coverage is 0 (At Loss) as of . 20. GuruFocus rates NSE:ETL with a GF Score™ of 2/100. The stock has 1 warning sign investors should review. Among 2,321 Industrial Products companies, Emkay Tools ranks worse than 43084.83% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Emkay Tools's Operating Income for the six months ended in . 20 was ₹0.00 Mil. Emkay Tools's Interest Expense for the six months ended in . 20 was ₹0.00 Mil. did not have earnings to cover the interest expense. The higher the ratio, the stronger the company's financial strength is.

(1) Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

The historical rank and industry rank for Emkay Tools's Interest Coverage or its related term are showing as below:


NSE:ETL's Interest Coverage is not ranked *
in the Industrial Products industry.
Industry Median: 14.75
* Ranked among companies with meaningful Interest Coverage only.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Emkay Tools  (NSE:ETL) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .

Emkay Tools Interest Coverage Related Terms

Emkay Tools Interest Coverage Historical Data

* Premium members only.

The historical data trend for Emkay Tools's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

Emkay Tools Interest Coverage Chart

Emkay Tools Annual Data
Trend
Interest Coverage

Emkay Tools Semi-Annual Data
Interest Coverage

NSE:ETL vs SNA, RBC, LECO: Interest Coverage Comparison

For the Tools & Accessories subindustry, Emkay Tools's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Emkay Tools Interest Coverage vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Emkay Tools's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Emkay Tools's Interest Coverage falls into.


NSE:ETL
2GF Score
Emkay Tools Ltd NSE:ETL
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Emkay Tools Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Emkay Tools's Interest Coverage for the fiscal year that ended in . 20 is calculated as

Here, for the fiscal year that ended in . 20, Emkay Tools's Interest Expense was ₹0.00 Mil. Its Operating Income was ₹0.00 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹0.00 Mil.

Emkay Tools had no debt (1).

Emkay Tools's Interest Coverage for the quarter that ended in . 20 is calculated as

Here, for the six months ended in . 20, Emkay Tools's Interest Expense was ₹0.00 Mil. Its Operating Income was ₹0.00 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹0.00 Mil.

Emkay Tools had no debt (1).

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 0 (At Loss) mean?
Emkay Tools (NSE:ETL) has a Interest Coverage of 0 (At Loss) as of . 20. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Emkay Tools and its competitors. According to the industry distribution chart, Emkay Tools ranks #999999 out of 2321 companies in the Industrial Products industry.
Is Emkay Tools' Interest Coverage too high?
Emkay Tools' current Interest Coverage is 0 (At Loss). Based on the distribution chart, Emkay Tools ranks #999999 out of 2321 companies in the Industrial Products industry, which is in the bottom quartile relative to peers. Overall, Emkay Tools has a GF Score™ of 2/100, reflecting its overall financial health beyond just this single metric.
How does Emkay Tools' Interest Coverage compare to SNA and RBC?
According to the Industrial Products industry distribution chart, Emkay Tools ranks #999999 out of 2321 companies for Interest Coverage. This places Emkay Tools in the lower half of its industry. The industry median Interest Coverage is 14.75. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for an Industrial Products company?
The median Interest Coverage among Industrial Products companies is 14.75, based on 2,321 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Emkay Tools and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Emkay Tools's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Emkay Tools stock overvalued right now?
Emkay Tools (NSE:ETL) has a current Interest Coverage of 0 (At Loss). The current Interest Coverage is 0 (At Loss). Emkay Tools' overall GF Score™ is 2/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Emkay Tools (NSE:ETL), the current Interest Coverage is 0 (At Loss) as of . 20. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Emkay Tools Business Description

Address Hingna Road, B-27 & B-27/1, M.I.D.C, Industrial Area, Nagpur, MH, IND, 440 016
Emkay Tools Ltd believes in working together with the user industry to find solutions wherever improvements for tapping requirements are needed. It is engaged in designing and producing quality thread-cutting taps that are setting new standards for productivity.
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Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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